BT 2016 Annual Report Download - page 142

BT Group plc
Annual Report 2016
148
Non-executive director fees
Element/purpose and
link to strategy Operation Opportunity
Purpose –
core element of remuneration,
paid for fulfilling the relevant role
• NEDs receive a basic fee, paid monthly in
respect of their board duties.
• Further fees may be paid for chairmanship or
membership of Board committees or to the
Senior Independent Director.
• Additional fees up to £2,000 may also be
payable to NEDs travelling regularly from
overseas on an intercontinental basis to
Board and committee meetings.
• NEDs are not eligible for annual bonus, share
incentives, pensions or other benefits.
• Fees are typically reviewed annually.
• Expenses incurred in the performance of
non-executive duties for the company may
be reimbursed or paid for directly by the
company, as appropriate.
• Current fee levels can be found in the Annual
Report on Remuneration on page 103.
• Fees are set at a level which is considered
appropriate to attract and retain NEDs of the
necessary calibre.
• Fee levels are normally set by reference to the
level of fees paid to NEDs serving on boards
of similarly-sized, UK-listed companies,
taking into account the size, responsibility
and time commitment required of the role.
• The company’s Articles of Association
provide the maximum fee level is payable.
The maximum is based on NED fees
benchmarked as at 1 April 1999 with
increases linked to the Retail Price Index.